Steel consumption in Mexico reached 2.83 million metric tons (mt) in October, the fifth consecutive time with a double-digit annual increase, rising 16.3 percent, year-over-year, according to data from the Mexican Chamber of the Iron and Steel Industry (Canacero) reviewed by SteelOrbis.
Unlike consumption’s positive trend since October 2022, liquid steel production in Mexico registered the 11th consecutive annual decline. In October it decreased 10.9 percent, year-over-year, to 1.40 million mt.
This negative trend has worsened since the beginning of the year because one of the largest steel companies in the country, Altos Hornos de México (AHMSA), is paralyzed due to insolvency.
With the negative production trend, it is the sixth consecutive time in at least the last 36 months that consumption doubled the volume of steel produced in Mexico. For every 100 mt of steel consumed, Mexico manufactured only 49.3 mt, the rest was compensated with imports.
In finished steel products, consumption in October increased 16.4 percent, year-over-year, to 2.50 million mt, the 11th consecutive annual increase and is also the fifth consecutive double-digit increase.
In contrast, the manufacturing of finished steel products in Mexico returned to its negative trend. In October it decreased 2.7 percent, year-over-year.
In the accumulated period of January-October, liquid steel production totaled 13.5 million mt, 12.7 percent less compared to the same period last year. In contrast, liquid steel consumption in the same period increased 14.0 percent to 27.2 million mt.
For its part, the manufacturing of finished steel products accumulated until October was 16.1 million mt, 2.7 percent less compared to the same period last year. Meanwhile, accumulated consumption totaled 24.0 million mt, 13.9 percent more in the period.
Data from The World Steel Association from 2022 places Mexico as the 14th largest producer of liquid steel in the world.